If Nintendo gets back into the graphics pissing match (which I don't see happening) they would have to match Sony's PS5 (read: FIVE) level graphics. Matching PS4 a few years after the PS4 already has come out wouldn't do anything for them, just like no one is impressed with the Wii U having somewhat better graphics than the PS3/360 they already own.
Better to just get out of that whole rat race entirely and focus on an affordable platform that has lots of great games and flexibility to the consumer to play games on the go or at home.







